Southwest Tennessee Electric Membership Corporation

What Southwest Tennessee Electric Membership Corporation does

Southwest Tennessee Electric Membership Corporation (STEMC) is a member-owned, not-for-profit electric distribution cooperative founded in 1937 following the Rural Electrification Act of 1936. Headquartered in Brownsville, Tennessee, with a district office in Atoka, STEMC distributes electricity purchased from the Tennessee Valley Authority (TVA) to more than 50,000 residential and commercial meters across 11 West Tennessee counties (Chester, Crockett, Fayette, Hardeman, Haywood, Henderson, Lauderdale, Madison, McNairy, Shelby, and Tipton). The cooperative is governed by an elected board of directors and operates on a not-for-profit basis, returning margins to members through rate adjustments.

The company's core technology consists of owned electric distribution infrastructure, a Member Portal, FlexPay/MyUsage (a usage-based billing program), SMS-based outage reporting (text OUT to 888-440-1990), and a real-time outage map. Through its wholly-owned subsidiary Aeneas Internet and Telephone, STEMC is expanding fiber broadband internet services across its electric service area under the Tennessee Broadband Accessibility Act. STEMC also offers a broad portfolio of ancillary services: outdoor lighting, SurgeHelp surge protection, heat pump financing, smart thermostat programs, renewables options, residential and commercial energy efficiency programs, tree trimming, new construction services, and weather radio sales. Member-engagement programs include the Washington Youth Tour, Youth Leadership Summit, and Southwest Members Care community giving.

STEMC's business model is subscription/recurring: monthly electric distribution billing to members plus broadband subscription fees from Aeneas. The cooperative deploys a direct-to-consumer GTM motion with self-serve digital channels (website, Member Portal, Facebook), community events (annual meeting, Tennessee Electric Cooperative Day of Service), and statewide channels such as The Tennessee Magazine (TECA). Customer segments are primarily residential consumers (homeowners/renters) and commercial/industrial members, alongside youth leadership program participants. Recent strategic actions include the July 2025 transition of Clint Malone to President and CEO following J. Kevin Murphy's retirement, the Atoka district office opening, and the 2024 TECA Best Website Award. Revenue is not publicly disclosed.

Name

Southwest Tennessee Electric Membership Corporation

Legal name

Southwest Tennessee Electric Membership Corporation

Website

https://stemc.com

Company type

Private

Founded year

1937

Operating status

Operating

Short description

Southwest Tennessee Electric Membership Corporation is a member-owned, not-for-profit electric distribution cooperative serving over 50,000 residential and commercial meters across 11 West Tennessee counties with electricity purchased from TVA, supplemented by fiber broadband via subsidiary Aeneas Internet and Telephone.

Ownership category

akta.pro rank

Product category

Electric Utility Distribution

NAICS

Electric Power Transmission, Control, and Distribution (22112)

akta.pro primary industry

Electric Cooperatives (Rural/Member-Owned Utilities) (EUADABAC)

akta.pro secondary industry

Municipal & Community Broadband Networks (HDAIACAE)

Keywords

• Electric distribution services
• Rural electric cooperative
• Fiber broadband internet
• Outage management services
• Energy efficiency programs

Headquarters

HQ city

Brownsville

HQ country

United States

HQ region

North America

Offices2 records

Markets served

GTM type

B2C

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Supply Chain, Technology or R&D, Marketing or Sales

Revenue model

1. Electric Distribution Services: As a not-for-profit electric cooperative, STEMC generates revenue through electricity distribution to 50,000+ residential and commercial consumers. Revenue is used to cover operating costs and maintain infrastructure, with any excess returned to members through rate adjustments.
2. Broadband Internet Services: Through subsidiary Aeneas Internet and Telephone, the cooperative provides fiber broadband internet services to homes and businesses in the service area.

Pricing tiers

Go-to-market motion1 record

Distribution channels3 records

Marketing channels5 records

Core offering

STEMC distributes safe, reliable, and affordable electricity to more than 50,000 residential and commercial consumers across 11 counties in West Tennessee, sourcing power from the Tennessee Valley Authority (TVA). Through its wholly owned subsidiary Aeneas Internet and Telephone, the cooperative also delivers fiber broadband internet and telephone services to members. Members access accounts, report outages, and manage usage through a web portal, SMS-based outage texting, and a real-time outage map.

Product overview

Southwest Tennessee Electric Membership Corporation is a not-for-profit, consumer-owned electric cooperative providing electricity to over 50,000 residential and commercial consumers across 11 counties in Southwest Tennessee. The company operates as a single core electric utility product supplemented by numerous service modules including outage management (Outage Texting Service, Outage Center, Outage Map), account management (Member Portal, FlexPay/MyUsage), and value-added services (Aeneas Internet and Telephone broadband, Outdoor Lighting, SurgeHelp, Heat Pump Financing, Renewables, Tree Trimming). Energy efficiency programs (Smart Thermostat, Residential, Commercial and Industrial) help members manage consumption. Community programs include Washington Youth Tour, Youth Leadership Summit, and Southwest Members Care. The cooperative structure means members are served through a member-owned model with board governance.

Differentiator

Problem solved

Functional benefit

Products and services

• Electric Utility Service Provides reliable, affordable electricity distribution to more than 50,000 residential and commercial consumers across 11 counties in West Tennessee, sourced from the Tennessee Valley Authority (TVA).
• Aeneas Internet and Telephone Broadband internet and telephone services for residential and business customers in the service area, delivered over fiber networks built and operated by wholly owned subsidiary Aeneas.
• Outdoor Lighting Outdoor lighting service for residential and commercial members, including installation and ongoing electric supply.
• SurgeHelp Surge protection program designed to protect members' electrical equipment from power surges on the cooperative's distribution system.
• Heat Pump Financing Financing program enabling members to install heat pump systems for energy-efficient heating and cooling.
• Renewables Renewable energy program offering members options to participate in solar or other clean energy solutions.
• Smart Thermostat Program Energy efficiency program that provides smart thermostats to members to help manage household energy consumption.
• New Construction Services Electrical service installation and project support for new residential and commercial construction within the service territory.
• Weather Radios and Electric Products Retail sale of weather radios and electrical products to members for safety and convenience.
• Commercial and Industrial Energy Programs Energy efficiency solutions and programs tailored for commercial and industrial members to reduce consumption and cost.
• Residential Energy Efficiency Energy conservation tips and programs for residential members to reduce energy usage and lower electricity costs.

Quantifiable outcome

• Power restored to over 7,000 members following Winter Storm Fern with mutual aid support from multiple cooperatives
• +1 more outcomes

Named customers3 records

Segments3 records

Ideal customer profiles2 records

Technology focussed No

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Feature3 records

Partnerships

Eight partnerships are on record, tiered minor and core.

• Carl Perkins CentersminorStrategic or Co-development Partner · 17 October 2024Community nonprofit benefiting from Tennessee Electric Cooperative Day of Service. STEMC employees collected over 1,100 items for Carl Perkins Centers in Haywood, Madison, Tipton, and Chester Counties to support children and families dealing with abuse.
• Tennessee Valley Authority (TVA)coreStrategic or Co-development PartnerTVA is the power supplier for STEMC and the entire Tennessee Valley region. STEMC purchases electricity from TVA for distribution to its members. TVA sets record peak demand during extreme weather events, and STEMC works with TVA to manage grid reliability.
• Forked Deer Electric CooperativecoreStrategic or Co-development PartnerMutual aid partner that provided lineworkers and support teams during Winter Storm Fern restoration efforts in early 2026.
• Gibson Electric Membership CorporationcoreStrategic or Co-development PartnerMutual aid partner providing assistance during Winter Storm Fern restoration efforts.
• Chickasaw Electric CooperativecoreStrategic or Co-development PartnerMutual aid partner working alongside STEMC crews during Winter Storm Fern restoration.
• Pickwick Electric CooperativecoreStrategic or Co-development PartnerSTEMC sent crews to assist with restoration following Winter Storm Fern, continuing cooperative tradition of mutual aid.
• Meriwether Lewis Electric CooperativecoreStrategic or Co-development PartnerSTEMC provided mutual aid assistance following Winter Storm Fern by sending restoration crews.
• Aeneas Internet and TelephonecoreOEM/ Whitelabel/ Licensing PartnerSubsidiary company providing fiber broadband internet services. STEMC acquired Aeneas to bring better internet service to members. Building fiber broadband networks in the service area under Tennessee Broadband Accessibility Act.

Scale indicators5 records

Recent moves6 records

Expansion highlights6 records

Direct peers

• Chickasaw Electric Cooperative: West Tennessee electric cooperative and active mutual aid partner during STEMC's Winter Storm Fern restoration. Closely comparable as a small rural TVA-distribution co-op with similar customer profile and capex profile.
• Volunteer Energy Cooperative: Tennessee electric cooperative serving members across several Southeast Tennessee counties. Directly comparable as a TVA-distribution cooperative with overlapping member-services portfolio and rural service profile.
• Meriwether Lewis Electric Cooperative: Tennessee Valley electric cooperative that received STEMC mutual aid crews during Winter Storm Fern. Directly comparable as a TVA-region member-owned distribution cooperative serving rural members.
• Forked Deer Electric Cooperative: West Tennessee electric cooperative and mutual aid partner during Winter Storm Fern. Closely comparable to STEMC in territory, customer mix, and operational scope.
• Gibson Electric Membership Corporation: TVA-served electric cooperative in Northwest Tennessee and a mutual aid partner of STEMC. Directly comparable in size, governance structure, service territory, and operational scope.
• Pickwick Electric Cooperative: Southwest Tennessee electric cooperative that received STEMC restoration crews following Winter Storm Fern. Directly comparable as a neighboring TVA distribution co-op with similar scale and member-ownership model.
• Duck River Electric Membership Corporation: TVA-served electric cooperative in southern Middle Tennessee. Comparable as a member-owned distribution cooperative with similar scale, governance, and value-added programs including broadband.
• Middle Tennessee Electric Membership Corporation: Largest electric cooperative in the TVA footprint, serving more than 600,000 members across Middle Tennessee. Directly comparable as a member-owned distribution co-op with a fiber broadband subsidiary (United Communications) and shared TVA wholesale relationship.

Regional players

• Jackson Energy Authority: Multi-utility authority (electric, gas, water, broadband) serving Jackson, Tennessee — adjacent to STEMC's Madison County territory. Comparable as a regional utility offering electric distribution and fiber broadband services to a similar West Tennessee customer base.

Broad incumbents

• Memphis Light, Gas and Water Division: Larger multi-utility (electric, gas, water) serving the Memphis metro area, overlapping with STEMC's Shelby County footprint. Comparable as a regulated distribution utility in the same region but much larger, municipally owned, and offering a broader portfolio of services.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks5 records

Key highlights7 records

Customer concentration

• Facebookfacebook.com/stemconline
• Xx.com/stemc_tn
• LinkedInlinkedin.com/company/southwest-tennessee-electric-membership-corporation

Revenue estimate

Valuation estimate

Number of profiles

Profiles1 record

Subsidiaries1 record

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Southwest Tennessee Electric Membership Corporation